Private Trust Deed Investing

What are private Trust Deeds all about and how can you enjoy strong, stable returns using real estate-backed securities?

When a loan is made on a piece of real estate, it is generally done with a deed of trust, also referred to as a "Trust Deed." A Promissory Note is signed by the borrower and it serves as a binding agreement to pay back the loan. A "deed of trust" is simultaneously executed, which ties the "Note" to the specific property or properties. It is then filed and recorded at the appropriate county recorder’s office.

At Equity Lending Partners our job is to match the borrowing needs of real estate developers with investors’ needs of a strong stable return on their money. Because of our strong connections throughout the building, development and commercial industries, we are consistently presented with private funding opportunities which in return can be matched with our extensive family of private investors.

This is a true "win-win" combination, as developers have a trusted source to contact when they are in need of funding, and our investors know they can receive a conservative, yet healthy and stable return on their investment dollars.

In addition, Equity Lending Partners is not in the "loan to own" business. It is our intent that every investment in which we choose to participate is a successful relationship for all involved.

As an investor, there are several options available to you for your investment dollars. You may use your own money, an IRA, a trust, a pension fund, and/or a corporation.

First Trust Deeds

Individual & Fractional

A first Trust Deed is the best position of a Trust Deed in which you can invest.

Our in-house experts at Equity Lending Partners, LLC carefully evaluate each loan opportunity, its appraised value and loan-to-value ratio (LTV), as well as the borrower’s strength and ability to repay the loan. Typically these investments offer returns ranging from 9% to 14% and terms from six (6) months to twenty four (24) months.

Loan amounts vary greatly, and range from thousands to millions of dollars. Some investors prefer to be the sole investor, funding 100% of the Trust Deed amount, and others prefer to share participation in the loan amount, also known as a fractionalized Trust Deed.

Second Trust Deeds

Individual & Fractional

A second deed of trust, by its position, involves more risk than that of a first deed of trust. There are still, however, unique circumstances and occasions when ELP will accept opportunities to fund second deeds of trust. These investments will offer a higher rate of return than first deeds of trust, and the returns will be set when our underwriting committee meets and accepts the investment opportunity. Typically, a second deed of trust investment will offer returns between 14% and 20%, with terms ranging from six (6) months to twenty four (24) months. These investments may be funded individually or fractionalized with other investors.